U.S. President-elect Donald Trump attends the Turning Point USA Festival at the Phoenix Convention Center on December 22, 2024 in Phoenix, Arizona.
Rebecca Noble | Getty Images
President-elect Donald Trump is reportedly considering a plan that would still impose tariffs on all countries but narrow the focus to a select group of goods and services The Washington Post reports.
The newspaper quoted people familiar with Trump’s thinking as saying that the new tariff approach may not be as powerful as Trump’s earlier ideas, but it will still bring significant changes to global business.
The report comes amid concerns that the incoming president’s insistence on universal tariffs of 10% or 20% and targeting China and Mexico specifically would cause inflation to surge again.
Tariffs imposed on a wide range of imported products during Trump’s first term did little to significantly raise prices, and in fact remained in place when Joe Biden became president. However, economists worry that the situation is different now and that aggressive tariffs will have a greater impact.
The Washington Post reported that it was unclear which industries would be affected by the plan, but early discussions focused on various industrial metals, medical supplies and energy.
The U.S. monthly trade deficit reaches $74 billion and has increased sharply during the COVID-19 pandemic.
